BTC supply on the exchange fell to a 6-year low.
Acryptoinvest.news: The Bitcoin supply on crypto exchanges has plummeted to approximately 2.8 million BTC, a level previously seen only in July 2019. This supply drop follows the token's recent price peak of $125,506.
The volume of Bitcoin held on trading platforms like Binance, Bitget, Coinbase, and others has fallen significantly after the token reached a new all-time high just the day before. According to on-chain analysis platform Glassnode, the total volume of BTC held on exchange addresses currently stands at just over 2.8 million BTC.
The last time the Bitcoin supply on exchanges fell to approximately 2.8 million was in June 2019, when BTC was worth just $8,745. Six years later, the BTC price has risen several times, reaching a new high of $125,506. This new high could attract more demand from investors looking to acquire this asset.
Moreover, this also indicates a change in BTC ownership. This could mean that more and more owners are withdrawing their tokens from centralized exchanges and storing them in self-custody wallets. These could be cold storage wallets or private storage addresses.
On the other hand, Bitcoin has become an extremely attractive asset for outside investors, especially institutional investors looking to allocate more assets to corporate Treasury bonds. Recently, more and more companies have been following Michael Saylor's strategy.
According to Bitcoin Treasuries, 25 new organizations have joined the BTC ecosystem in the past 30 days. The total number of organizations holding BTC is 344, with the largest share—122—located in the United States. In fact, this number significantly exceeds the number of organizations in Canada, the United Kingdom, Japan, and Hong Kong combined.
Corporate treasuries currently hold 3.88 million BTC, exceeding the current stock on exchanges by more than 1 million BTC.
Bitcoin Price Analysis
The decline in BTC supply on exchanges reflects growing investor interest, as it coincides with the asset reaching a new all-time high. Trading platforms currently hold only 2.8 million BTC, meaning the supply of BTC available for sale on the market has shrunk.
This means that as demand increases, the market may absorb less BTC. This could lead to a price increase, as often happens during times of shortage.
According to TradingView, Bitcoin is currently trading around $123,610, slightly below its recent surge that took it to a new all-time high of $125,506. Since late September, Bitcoin has been on a strong upward trend, which continues thanks to strong momentum: Bitcoin is consistently above its 30-day moving average.
This bullish momentum confirms the strength of the breakout that propelled BTC to new highs. The price remains near the moving average at $123,636, indicating that buyers continue to defend support levels despite some profit-taking.
On the other hand, the relative strength index is currently hovering around 53, indicating a period of consolidation following the coin's recent rally. This mid-range RSI is neither overbought nor oversold, which could signal Bitcoin's stabilization after its strong rally. The market is likely bracing for a rally if bullish momentum resumes, although short-term corrections are still possible.
If Bitcoin can hold above the $122,000–$123,000 range, the path to a retest of $125,000 and potential higher gains remains. On the other hand, a clear break of the moving average could trigger a pullback to $120,000, the area of the previous consolidation.
Source: cryptonews.net
